Poll for PEB holders - How will you participate in the Cap Raising

[nextbigthing]

Here's a poll to see how people plan on participating in the latest cap raising

[whatsup]

Here's a poll to see how people plan on participating in the latest cap raising

A yes for me !

[nextbigthing]

A yes for me !

Thanks whatsup, I just configured it so now it's open :)

[skid]

Here's a poll to see how people plan on participating in the latest cap raising

Do you mean as long as the SP is over .61 or even if its the same or under?

[samdaman]

this is my first cap raising as a holder. I'm holding at the moment, wondering if theres anything I have to do because I don't want to get more shares in the cap raising. Do I just sit back and watch as my shares are diluted?

[couta1]

this is my first cap raising as a holder. I'm holding at the moment, wondering if theres anything I have to do because I don't want to get more shares in the cap raising. Do I just sit back and watch as my shares are diluted?
You can either sell your rights thereby diluting your shares or let your rights lapse thereby denying the buyer of your rights the ability to dilute your shares but then of course you will miss out on any monetary gain from the sale of your rights.

[trader_jackson]

I look forward to taking up this great offer from PEB. I share (and like to think I understand) the long term aspirations the company has. (notice the word long term) We'll probably still have the impatient holders and/or others jump to this (and the other) thread stating every reason "in the book" to reject the right issue and/or sell asap, but I believe the $35m will go along way to helping achieve their goals (goals which can be achieved).

I look forward to the day they pass $100m revenue per year.

[pierre]

this is my first cap raising as a holder. I'm holding at the moment, wondering if theres anything I have to do because I don't want to get more shares in the cap raising. Do I just sit back and watch as my shares are diluted?

You can sell your rights on the market - though whether its worthwhile doing so will depend on how many rights you have as minimum brokerage for an online sale will be $30.

Current quotes are Bid = .5c Ask = 2c. So, assuming a sale of rights at say 1c you'll need 3000 rights just to break even (you'll have to be holding 16,500 shares to receive 3000 rights).

Keep a close eye on the market as the last day for rights trading is Tuesday 23 June and prices are likely to change over the next couple of weeks.

[QOH]

Will probably let mine lapse, not prepared to put anymore money into company at this stage, and the rights would need to be at least 1 cent to cover my brokerage costs

[traineeinvestor]

You can either sell your rights thereby diluting your shares or let your rights lapse thereby denying the buyer of your rights the ability to dilute your shares but then of course you will miss out on any monetary gain from the sale of your rights. (bolding added)

Please correct me if I have misunderstood how these things work, but if the issue is underwritten, won't the underwriter pick up and exercise any rights which lapse?

As an aside, PEB gets a big thumbs up for doing this as a rights issue instead of a shareholder-value destroying placement.

[skid]

(bolding added)

Please correct me if I have misunderstood how these things work, but if the issue is underwritten, won't the underwriter pick up and exercise any rights which lapse?

As an aside, PEB gets a big thumbs up for doing this as a rights issue instead of a shareholder-value destroying placement.

Spot on--The shares will be diluted one way or the other--it will either be the SH or the underwriter that buys them

[RGR367]

I'm just a bit surprised only 21 participated on this Poll considering it generates a lot of discussions just like XRO too. Only 21 of you owns PEB? Maybe I can butt in to the thread too though I make it a point just to read on the contributions when I am not holding the stock being discussed. Anyway, totally enlightening discussions you Guys got in there, I reckon :) TY and GL too.

[skid]

At market open today,you could have bought for the same price as the offer. Which begs the question of how many would still take up the offer at a loss (if SP was say .60,although Im sure the underwriters would do all in their power to keep that from happening)

There are a few whose absence is puzzling.

[Harvey Specter]

At market open today,you could have bought for the same price as the offer. Which begs the question of how many would still take up the offer at a loss (if SP was say .60,although Im sure the underwriters would do all in their power to keep that from happening)Yeah nah - I think I will change my answer to no. WYN just announced a capital raising which seems a much better place to put my money, plus I have a few private investments coming up to (Punakaiki crowdfunding is coming up for those that didn't get into the initial capital raise. Looks like he will be offering them at a good price to to reflect the illiquidity of them).

[Antipodean]

I am leaning back towards taking up the rights. I guess I still believe the story.

[Harvey Specter]

interesting you bring up PEB along side WYN.
Both have great products , both are valued @ about $200m, both are doing a large cap raise, both have had their products out in the market place for the same amount of time and both seem to have large addressable markets
WYN's sale's are $8m 2013, $25m 2014 and forecast $40-45m 2015.
PEB's sale's are $100k 2013, $300k 2014 and $1.9m 2015.
They are a great comparison apart from the fair valuations of the companies.WYN growing at 60% pa. PEB needs to go atmospheric to reach its $100m goal. Getting harder to beleive the hype but will hang on to my existing holding (for now).

[nextbigthing]

interesting you bring up PEB along side WYN.
Both have great products , both are valued @ about $200m, both are doing a large cap raise, both have had their products out in the market place for the same amount of time and both seem to have large addressable markets
WYN's sale's are $0 2012, $8m 2013, $25m 2014 and forecast $40-45m 2015.
PEB's sale's are $0 2012,$100k 2013, $300k 2014 and $1.9m 2015.
They are a great comparison apart from the fair valuations of the companies.

Yes but Snaps for PEB it goes 100k, 300k, 1.9M, xxM, 100M. DD said so.

[Harvey Specter]

Yes but Snaps for PEB it goes 100k, 300k, 1.9M, xxM, 100M. DD said so.I think they re-started the clock on their 5y plan so that 100k drops off. The questions are will they get the insurance approvals they are after and if so, will that create a significant jump.

[Antipodean]

the problem is what story do you believe....... the companies story or the actual results story. They are very different stories indeed.

To clarify, I still believe the companies story going forward despite the current/past results being different to what were forecast by the company in the past. This does not mean their future forecasts would be also not met, but if you believe that is true then it is perfectly valid to not hold, sell or not take up rights. I understand why some people are skeptical - there is certainly pause for concern in PEB's past performance versus their stated goals.

What I mean is that I still have confidence the PEB team can convert their underlying product into a successful business. 100m in 5 years is probably still a dream in my opinion, but I would not be averse to them aiming for that and hitting a smaller number while still being a successful company. If - at the same time - the bring a product to market that substantially improves people lives then all the better.

I am not without concerns though - particularly previous comments regarding being fully funded and now the capital raise/rights issue. This can only be justified by a change in either the situation or the strategy (or both). I am please the company is looking at markets other than the US like the recent Singapore instigation - while the US is the biggest doesn't mean it should be the sole focus.